Company Number: 13827668

Analysis Date: 2025-07-29 16:15 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Natthai Ltd shows improvement in financial position with net assets turning positive in the latest year, indicating a recovery from previous losses. However, the company is still in an early stage of development with modest current assets and limited capital base, typical of a micro-entity. The company’s ability to service new credit facilities depends on continued operational improvement and close monitoring of liquidity. Approval for credit is recommended on a conditional basis with limits aligned to the company’s size and cash flow capacity.

2. Financial Strength:
   The balance sheet shows a turnaround from net liabilities of £823 in 2024 to net assets of £1,227 in 2025. Current assets increased from £1,983 to £5,176, while current liabilities rose moderately from £2,806 to £3,949. Shareholders’ funds are positive at £1,227, reflecting retained earnings or capital injection improving solvency. Total assets less current liabilities equal net current assets, indicating no long-term liabilities or fixed assets reported. Overall, the financial strength is fragile but improving.

3. Cash Flow Assessment:
   Net current assets of £1,227 indicate a small working capital surplus, providing limited liquidity buffer for short-term obligations. The increase in current assets suggests better cash or receivables management, but current liabilities also increased, possibly due to trade creditors or short-term borrowings. The company has a micro account category with no audit requirement, implying limited financial complexity but also lack of detailed financial disclosure. Cash flow appears tight and should be closely monitored to avoid liquidity stress.

4. Monitoring Points:

• Track net current assets and liquidity ratios quarterly to ensure working capital remains positive.
• Monitor trade creditor days and payment patterns to suppliers for signs of cash flow pressure.
• Review turnover and profitability trends once available to assess operational sustainability.
• Monitor director’s financial commitments and any related party transactions given sole control by Mrs Natthaya Gibb.
• Watch for timely filing of accounts and confirmation statements to ensure compliance and transparency.